Anthropic in talks with Nvidia for $10 billion investment ahead of potential IPO
AI company reportedly seeking $100 billion offering with $2 trillion valuation
Quick Look
- Anthropic is reportedly negotiating a $10 billion investment from Nvidia as part of plans for a massive IPO.
- The company aims to raise $100 billion, potentially valuing the AI firm at $2 trillion, while strengthening ties between the chipmaker and its customer.
AI-generated summary
Why It Matters
Anthropic is an AI company that has previously secured infrastructure deals, including a $9 billion capacity agreement with Riot Platforms.
Anthropic is in talks with Nvidia about a potential $10 billion investment in what may be the biggest IPO in history, Reuters reported on Saturday, citing people familiar.
The people said Anthropic is seeking to raise as much as $100 billion in the offering, which could value the AI company at about $2 trillion.
The discussion is ongoing and could change, the people told Reuters, remaining anonymous amid the confidential negotiations.
Nvidia could supply Anthropic with an early strategic backer for the offering and also strengthen ties between the chipmaker and an important customer.
Reuters said that Anthropic declined to comment and that Nvidia had yet to respond to a request for comment.
Cointelegraph reported on Aug. 11 that Bitcoin miner Riot Platforms had secured a 20-year agreement to supply 191 megawatts of capacity from its Rockdale, Texas, campus to a “leading frontier AI” company.
The customer was Anthropic and the deal was valued at about $9 billion, Bloomberg reported, citing people familiar with the matter.
Cointelegraph reported earlier this month that Nvidia agreed to acquire Hugging Face for $12.9 billion, extending its reach into the software and tools developers use to build artificial intelligence.
Hugging Face serves more than 18 million developers and hosts over three million models, Nvidia CEO Jensen Huang said.
The acquisition would give Nvidia control of a major platform for AI models as technology companies increasingly compete across chips, software and developer tools.
Open Questions
- Will the IPO valuation reach the projected $2 trillion?
- What are the specific terms of the Nvidia investment?
